An early rally largely dissipated by the close on Tuesday, but the major averages still ended trading with modest gains. Cooler-than-expected inflation data inspired optimism at the start of the session, but investors moderated their enthusiasm ahead of the Federal Reserve decision due out on Wednesday.
Turning to individual stocks, Moderna (NASDAQ:MRNA) expanded its value by nearly a fifth thanks to positive clinical data related to its cancer vaccine. Meanwhile, Novo Nordisk (NVO) extended its recent upward momentum, setting a new 52-week high.
On the downside, JetBlue (JBLU) slipped on the announcement of a cautious forecast. At the same time, Tesla (TSLA) stretched its recent decline to set a new 52-week low.
Standout Gainer
Moderna (MRNA) enjoyed a surge of buying interest following the release of clinical data related to its mRNA cancer vaccine mRNA-4157/V940. Shares jumped almost 20% on the news.
The cancer vaccine, used in combination with Merck’s (MRK) Keytruda, met the main goal of a Phase 2b study in patients with melanoma, a type of skin cancer. The trial showed a statistically significant and clinically meaningful improvement in the primary goal of recurrence-free survival compared to the use of Keytruda alone.
Bolstered by the data, MRNA rose $32.41 to close at $197.54. With the advance, the stock reached its highest finish since January. Overall, shares remain 16% lower for 2022. Meanwhile, the positive data could also have an impact for other names in the space.
Standout Decliner
JetBlue (JBLU) lost ground following the release of updated guidance, which moderated expectations due to concerns related to weather and an unfavorable holiday calendar. Shares slipped about 8%.
The airline said that “underlying demand trends continue to be strong” but that has been undercut by a negative impact from Hurricane Nicole, which hit in November. JBLU also pointed to the “adverse impact of the fourth quarter holiday calendar.”
As a result, JBLU predicted that its Q4 revenue per available seat mile, a key metric for airline performance, will come in at the low end of its prior guidance range, which called for growth of 15% to 19% compared to last year.
JBLU finished Tuesday’s trading at $7.10, a slide of 59 cents on the session. The retreat added to a recent dip, with the stock recording its lowest close since October.
Notable New High
Extending a significant upswing that has marked the past several weeks, Novo Nordisk (NVO) finished higher again, rising by another 2%. With the advance, the stock set another 52-week high.
NVO finished Tuesday’s trading at $132.84, a gain of $3.03 on the day. During the session, the stock reached an intraday 52-week high of $133.46.
With the advance, shares marked their fourth consecutive day of gains and the 13th higher finish in the past 15 sessions. Shares have climbed 39% since late September and are up 22% since the end of 2021.
Notable New Low
Tesla (TSLA) continued to drift lower, extending weakness that has marked much of the past two weeks, as investors worry that the ongoing drama surrounding Twitter will distract Elon Musk, Tesla’s CEO and the new owner of the social media network. TSLA dropped 4% on the day, touching a fresh 52-week low in the process.
The stock started the session higher, amid a general market rally following the release of cooler-than-expected consumer inflation data. However, this initial surge quickly petered out, with the stock pushing into negative territory during the middle of the day, eventually touching an intraday 52-week low of $156.91.
Shares trimmed their losses in the final hours of trading but still ended at $160.95, a decline of $6.87 on the day. This added to a 6% slide during the previous day, marking its sixth lower finish in the past seven sessions.
TSLA has slumped by nearly 60% in 2022.
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